One of two men ruled to have carried on the business of their bonded warehousing company with intent to defraud the Revenue has been disqualified from acting as a company director for ten years.
Mr John McDonnell (53), Rathbeale Crescent, Swords, Co Dublin, a former director of Eastland Warehousing Limited, was found by the High Court of knowingly carrying on his business in a reckless manner.
The ten-year disqualification order was sought by Mr Eamon Marray, for one of the liquidators of Eastland, Mr Tom Kavanagh, against Mr McDonnell.
Mr Joseph McNamara, since deceased and formerly with an address at Clonkeen Crescent, Dun Laoghaire, Co Dublin, was also named in a court order lodged on April last.
The judge also held that Ms McDonnell and the estate of Mr McNamara were personally responsible for the debts and liabilities of Eastland amounting to €1,586,287. Judgment in that sum was made on consent.
The legal proceedings arose after Eastland Warehousing Limited went into liquidation in 1997.
The joint liquidators, Mr Kavanagh and Mr Paul Wyse later alleged that some €3.5 million in excuse duties and VAT raised from wine sales had not been disclosed to the Revenue. It was also alleged money due to the Revenue was lodged in "secret" accounts in the First National Building Society.
The liquidators raised some €2 million from the sale of a warehouse at East Road, East Wall, Dublin, which had been used by Eastland since 1993. The warehouse was owned by a company owned by Mr McDonnell and Mr McNamara. The sale left a debt shortfall of €1.5 million for which sum the court found both directors personally liable.